The idea of making property investments passively can cause a great deal of confusion – what do we mean by passive investment through property anyway?
Let’s bust a few myths – here’s what we think:
1) Passive investment through property is not about laziness. It takes a ton of research upfront on an what could be a long-term investment. Only when the hard work of due diligence is done and the investment made can the investor sit back.
2) It’s not for everyone. It’s not for those that spend all their waking hours living and breathing property as property developers or landlords. We love you, but we know you’re more likely to be seeking funding than wanting to invest in other things right now! These dedicated souls need to keep their hands busy and if they’re doing it right should expect the fruits of their labours to reward them handsomely eventually. This is less true for UK residential landlords than for developers these days, and some are completely changing the way they invest in property as the world changes around them.
3) Having complete control of your property investment does not guarantee success. There’s no such thing as a risk-free investment, and the unexpected can bite you if you put all your eggs in one basket. If you’re a landlord you’re probably invested heavily in one “property paradigm” which, when attacked by government policy (as as happened recently in the UK) can have a devastating effect on your whole portfolio. Consider “targetted diversification” when you invest. Be an expert in your field but have plenty of strings to your bow.
I’m passionate about helping property investors move their investment strategy forwards with a clear plan for the future. So if any of this resonates with you, I’d like to chat with you privately and with no obligation or “hidden agenda”.
You can simply pull up my diary and book a complementary call with me right here. Speak soon!